The importance of cheques - don't lose customer and revenue

Discussion in 'Payment Processing' started by Notting, May 2, 2007.

  1. #1
    Hello,

    I have just got off the phone from two customers of mine who placed orders and then pulled out and did not pay at the last moment.

    During the course of the phone calls it transpires that they both pulled out because they did not wish to use paypal.

    One because he/she had had issues with paypal in the past
    and the other because.....see above!

    Rather than just saying 'paypal sucks!' (Which I would never do because it just isn't true - they have an excellent customer service team [bollocks!]) I am going to suggest something more useful!

    Both customers wanted to use cheques! To us 'web people' a cheque (which is essentially just a piece of paper) may seem old and haggard. However - not using them may be costing you sales!

    So don't lose sales - phone anyone back who pulled out of placing an order and get them back on board by offering them payment by cheque. Two 5 minute phone calls just got me over £50 of turnover I would have lost - don't lose it!

    Anyway cheques are fun, there is a certain nostalgia about them!

    Good luck
    Notting
     
    Notting, May 2, 2007 IP
  2. sar420

    sar420 Notable Member

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    #2
    I absolutely agree with you. As it is Paypal charges some or the other commission when you earn revenue (if you have premiere or business account) and when you withdraw a cheque (if you are a non-US member).

    When you get a cheque directly you can enjoy the full benefit of your earning.

    But even though I agree with you over the nostalgia aspect, I would prefer a bank/wire transfer - much faster!
     
    sar420, May 2, 2007 IP
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  3. hanz

    hanz Peon

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    #3
    Cheques are one of the most annoying things ever created. Google AdSense currently pays to Estonians via cheques and I am always having problems with them. At first it takes about a month before the cheque reaches my mailbox, my cheques come from Sweden, that is probably only about 500 km from my home. I am not sure what they are doing with them, I have received regular mail from other EU countries and generally it takes only few days. Maybe they are still using bottle post??? Then when I finally get the long awaited cheque I have to take it to a bank and find a person who knows what to do with it. We have never really used cheques in Estonia and so most of the bank tellers don't know what to do with them (bank transfers have always been easier, faster and securer). But the waiting doesn't end here, now I have to fill in some papers and wait another month for the cheque to clear before I can use the money (they say it is 2 - 4 weeks, but it has never taken me less than 3 weeks and generally they take their time.) So approximately 2 months after the cheque was sent out I finally get the money to my bank account, but wait, that is not all. Of course bank wants to have a small nominal share of my happiness, so happy $10 goes to them from my good old $150 cheque. And if that is not good enough then during that 2 months the value of good old dollar has fallen so much, that there is nothing left of that $150 cheque.

    So if you would ask me, then I would ban all cheques. Wire/bank transfers are just so much easier: no need to mess with envelopes and visit banks, just log in to your online bank account, fill in the form with recipient's information and the amount you want to send and click send (or what ever the button in your online bank says). Easy as 1-2-3 and already few hours (within Estonia) or few days (international) later is the money on recipient's bank account. I am not sure how much international wire transfers cost, but at least within EU the fees are rather small and I would rather pay a bit more than wait 2 months and run between banks.
     
    hanz, May 2, 2007 IP
  4. debunked

    debunked Prominent Member

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    #4
    Notting, why don't you get your own merchant account instead of using paypal?

    We accept 4 major cards, checks, and sometimes paypal. We need to add a paypal option on the sites still.
     
    debunked, May 2, 2007 IP
  5. 8everything

    8everything Peon

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    #5
    Nothing wrong with cheques :) I use to use them back in the day.. MUCH slower process to recieve the payment... but hey, like mentioned: there are less fees... oh but you have to take a trip to the bank :p
     
    8everything, May 2, 2007 IP
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  6. sandrarocks

    sandrarocks Banned

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    #6
    I would say. CUSTOMER IS ALWAYS RIGHT

    if they wish to send the payment via cheque, they should be welcomed.
    If they wish to send the payment via paypal, they should be welcomed too .

    :)
     
    sandrarocks, May 2, 2007 IP
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  7. Notting

    Notting Notable Member

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    #7
    debunked,

    Currently it is not worth it with the turnover of the site. I have only just started the store but it may be something for the future.

    Last year I had a site which turned over £XXXX a week (for half the year - seasonal) but the transaction values were only about £X so it wasn't really worth it then either.

    however I will look into it again shortly.

    Cheers
    Notting
     
    Notting, May 2, 2007 IP
  8. tradeya

    tradeya Notable Member

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    #8
    cheques is a good payment method. You can lose less commision fee but you have to spend more on transaction and travelling. also cheques can lost on the way to you too. it got some pros and cons of course.
     
    tradeya, May 2, 2007 IP
  9. Kontent.solutions

    Kontent.solutions Peon

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    #9
    Right point Notting.

    You should always go your customers way rather than expecting them to come your way. That is when your customers are 'satisfied' ;).

    Think otherwise, would you put in extra effort to get something from a vendor who does not have the payment options you prefer, when you can easily get it through a preferred payment option from another competitor vendor?

    Food for thought :)

    Regards,
     
    Kontent.solutions, May 2, 2007 IP
  10. inworx

    inworx Peon

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    #10
    PayPal allows scammers scam. Checks dont allow as they reveal the real identity of the sender snd his/her bank account, so is his address and other personal info:p
     
    inworx, May 3, 2007 IP
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  11. hanz

    hanz Peon

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    #11
    it is also possible to forge cheque
     
    hanz, May 3, 2007 IP
  12. sar420

    sar420 Notable Member

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    #12
    yeahh it is possible. But remember, check is a legal document and you can easily claim legal help on being frauded....unlike in paypal where paypal guys settle the disputes according to their own whims and fancies
     
    sar420, May 3, 2007 IP
  13. Clive

    Clive Web Developer

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    #13
    Cheques are still ok, I guess.
    But you have to decide over delaying the product or service delivery prior to confirming the cheque clearance which is a risk, too.
     
    Clive, May 3, 2007 IP
  14. Notting

    Notting Notable Member

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    #14
    That is true Clive. But you can get them to write their card number on the back of the cheque which guarantees it.

    Notting
     
    Notting, May 4, 2007 IP
  15. Clive

    Clive Web Developer

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    #15
    Hmm, to put myself in place of someone receiving a cheque like that, I wouldn't know how to be sure that the card number is fine, I also assume you meant full credit card details, right? Then, as a card holder myself, I would not trust my cc details on a cheque to anyone...
     
    Clive, May 4, 2007 IP
  16. weblogic

    weblogic Active Member

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    #16
    Scammers are everywhere and even a chque is subject to be scammed. So there is nothing secure about a cheque.
    Better to have it done electronically like Paypal but be cautious about the money earned and be happy!
     
    weblogic, May 6, 2007 IP
  17. inworx

    inworx Peon

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    #17
    Scammers are everywhere. You can hide from them as well as your money. Everyone would be scammed in his/her life at least 1 time.
     
    inworx, May 6, 2007 IP
  18. Clive

    Clive Web Developer

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    #18
    Too true, otherwise how would one know what a scammer is.
    Sadly, we get scammed more than just once, web is full of trash, you can't hide from them all.
     
    Clive, May 7, 2007 IP
  19. Notting

    Notting Notable Member

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    #19
    Not the full details - just the card number. And we're not talking about a cc number, it needs to be a cheque garauntee card.


    You are categorically wrong about this. Sorry but cheques are 100x more secure than paypal. Who do you trust more, a high street bank or f***ing paypal?

    Notting
     
    Notting, May 8, 2007 IP